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Volata Company began operations on January 1 , 2 0 2 3 . In the second quarter of 2 0 2 4 , it adopted
Volata Company began operations on January In the second quarter of it adopted the FIFO method of
inventory valuation. In the past, it used the LIFO method. The company's interim income statements as originally
reported under the LIFO method follow:
If the FIFO method had been used since the company began operations, cost of goods sold in each of the previous
quarters would have been as follows:
Sales for the second quarter of are $ cost of goods sold under the FIFO method is $ and operating
expenses are $ The effective tax rate remains percent. Volata Company has shares of common stock
outstanding.
Required:
Prepare a schedule showing the calculation of net income and earnings per share that Volata reports for the three
month period and the sixmonth period ended June and
Note: Round "Earnings per share" answers to decimal places.If the FIFO method had been used since the company began operations, cost of goods sold in each of the previous quarters would have been as follows:
Accounts
st Quarter nd Quarter rd Quarter th Quarter st Quarter
Cost of goods sold FIFO $ $ $ $ $
Sales for the second quarter of are $ cost of goods sold under the FIFO method is $ and operating expenses are $ The effective tax rate remains percent. Volata Company has shares of common stock outstanding.
Required:
Prepare a schedule showing the calculation of net income and earnings per share that Volata reports for the threemonth period and the sixmonth period ended June and
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